Los Angeles daily herald., 1887-06-22
GENERAL NEWS.
Collapse of the Fidelity
National Bank.
INTER STATE COMMERCE LAW
The Railway Commission Over
hauling the Affairs of the
Union Pacific.
Associated Press Dispatches to the HERALD.

| Associated Press Dispatches to the HERALD
CINCINNATI, June 2l.--The Fidelity
National Bank closed this morning.
This is the bank the officials of which
have been credited with being heavily
involved in the collapsed Chicago wheat
deal. 1t is understood that the bank
examiner has notified the directors that
the speculative officials would have to
leave. The investigation into the banks
atfairs was prompted by one of the larg.
est stockholders, but when he demanded
sight of the securities and loan collater.
ais two weeks ago, President Harper
refused to let him see them. A govern
ment investigation followed. The
police are guarding the doors of the
bank.
A RECEIVER APPoINEED.
The bank examiner has announced
that, owing to impairment of thd bank S
resources, the government wouH take
charge of the bank. John K. Useam o,
Vice President Of the Metropolitan Ma.
tional Bank, has been appointed receiver
to close up the business OF the bank. 1t is
now stated that clearing house settle
ments for the past few days ,havesshown
an unusual drain on the bank resources.
Besides this, many banks hava kept
their checks out of the clearinghouse as
a favor.
TIE BANKS BOOKS.
It has been ascertained that lie liza.
bilities of the bank, exclusive II the
capital stock, are about IS, 500, COD indi.
vidual deposits are about So, SOC, ,0Q,e.
SERIOUS CHARGES.
The Union National Bank of Geve-
land this afternoon brought suit In at
tachment against the Fidelity National
Bank to recover $67 1881. A, asserting
that the defendant corporation had
and criminally incurred the
obligation for which suit has BEEN
brought. At 4 o'clock this after.
noon under affidavits drawn by Assist.
ant United States District Attorney
and sworn to by Bank Examiner How.
ell. a deputy marshall went td the
Fidelity Bank and arrested Vice. Rresi
dent f. L. Harper, Cashier Annie
Baldwin, and Assistant Cashier Btnja.
min Z. Hopkins. They were taken be.
fore United States Commissioner Hoop
er. where they gave bonds for theft flu
ture appearance. Mr.. Harper's bond
was fixed at SIS, 1000, and the other two
at $lO,O each.
The affidavit against Harper charges
that he ''did on or about june il5th
unlawfully and wilfully misapply flnds
and credits of the Fidelity National
Bank Association and did .issue- -seEtiti--
Gates of deposit without the authority of
the directory of said association and
with intent deferred, to wit: one certifi.
cate for $500, 900 and one for 5000, 900.
The affidavit against Baldwin makes
a similar charge, fixing the date at
June 18th and papers and draft for
$40, 600. Hopkins affidavit charges him
with having ON ON about June 18th un-
lawfully issued certain draft or certiti-
cate of deposit for large sums of money,
to wit: $40O, 900, with intent of defraud-
ing said association. These affida-
Wits follow the language of sec.
tion 5000, United States Statutes.
The penalty described therein is
imprisonment in the penitentiary for
not less than five years nor more than
ten. This bond action by the govern
ment authorities is regarded as having
been taken after the discovery of evil
dence sufficient to justify it, and finds
very general commendation, although it
appears to honored business men that
there is no doubt that the transaction
referred to relates to the recent wheat
deal in Chicago.